LTC 166-2010 Final Legislative Report on the 2010 Session of the Fla Legislature<? MIAMIBEACH
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OFFICE OF THE CITY MANAGER ~
NO. LTC # 166-2010
LETTER TO COMMISSION
TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager
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DATE: June 1, 2010
SuB~ECT: Final Legislative Report on the 2010 Session of the Florida Legislature.
The purpose of this LTC is to transmit to the Mayor and City Commission the attached
report from the City's lobbyists regarding the 201.0. Regular Session of the Florida
Legislature. This report includes information on the status and outcomes of issues on the
City's 2010 State Legislative Agenda, as well as information on other key developments
of the Session.
The lobbying team, along with the Miami Beach Legislative Delegation, will make a
presentation on the Session at the June 9, 2010 City Commission meeting. In the
meanti e, if you have any questions or comments, please do not hesitate to contact me.
JMG/H /kc
Attachment
c: Jose Smith, City Attorney
Executive Staff
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RUTLEDGE, ECENIA & PURNELL
PROFESSIONAL ASSOCIATION
ATTORNEYS AND COUNSELORS AT LAW
STEPHEN A. ECENIA
RICHARD M. ELLIS
JOHN M. LOCKWOOD
MARTIN P. McDONNELL
J. STEPHEN MENTON
POST OFFICE BOX 551, 32302-0551
119 SOUTH MONROE STREET, SUITE 202
TALLAHASSEE, FLORIDA 3301-1841
TELEPHONE (850)681-6788
TELECOPIER (850) 681-6515
R. DAVID PRESCOTT
HAROLD F.X. PURNELL
MARSHA E. RULE
GARY R. RUTLEDGE
MAGGIE M. SCHULTZ
GOVERNMENTAL CONSULTANTS
JONATHAN M. COSTELLO
MARGARET A. MENDUNI
MEMORANDUM
T0: Mayor Matti Bower
City Commissioners and City Manager Gonzalez
City of Miami Beach
VIA: E-mail to Kevin Crowder
FROM: Gary Rutledge
Fausto Gomez
Bob Levy
Margie Menduni
Manny Reyes
Jon Costello
DATE: June 1, 2010
SUBJECT: Final Legislative Report - 2010 Regular Session
Introduction
The 2010 Legislative Session was particularly difficult from both a fiscal and political
perspective. .Preparation for the 2010-2011 state budget began with a projected. deficit of $3.2
billion. Politics were heightened by the resignation of former Speaker Ray Sansom after ethics
hearings by his peers. Accusations of corruption surrounded the Governor-backed Executive
Director of the state Republican Party which resulted in his resignation and replacement by a
sitting State Senator. The .rivalry between Republican Governor Crist and former Republican
House Speaker Marco Rubio for Mel Martinez' (now George Lemieux) U.S. Senate seat
exploded over the Governor's veto of Senate Bill 6, an education policy bill.. Strong reaction to
the veto led Governor Crist to abandon the Republican Party and announce his intention to run as
a "no party" candidate for the U.S. Senate seat.
4
With all the intrigue, the 2010 Legislature managed to pass .311 bills. The following reflects
issues from the City's legislative agenda and other issues of interest to Miami Beach.
City of Miami Beach
Final Legislative Report - 2010 Regular Session
Page 2
Condominium Reform/Elevator Safety and Sprinklers
SB 1196 Relating to Community Associations -PASSED
SB 1196 by Fasano and Ring and HB 561 by Bogdanoff, Hudson and Sachs, were the two major
condominium bills that moved through the process during the 2010 Session. Originally,. Senator
Fasano, Senator Ring, Representative Bogdanoff and Representative Sachs all had separate bills
addressing condominium issues, but early in Session the Senate bills were combined, as were the
House bills, and all of the sponsors focused on passing one comprehensive condominium reform
bill. On April 28, 2010, SB 1196 passed the House with a vote of 107-4 after being passed
unanimously by the Senate. The bill was approved by the Governor.
As you will remember, after the Legislature passed a condominium reform bill in 2009 Governor
Crist chose to veto the bill; citing public safety concerns with the bill's provision that would have
allowed condominiums to opt out of retrofitting common areas with sprinkler systems. This
year's condominium reform package has a similar provision. We have diligently worked with the
Executive Office of the Governor and the Office of the Chief Financial Officer (the CFO serves
as the state's Fire Marshal). In our meetings with the Governor and CFO's staff, they expressed
some lingering public safety concern regarding the sprinkler retrofit language. However, the bill
sponsors are extremely confident that Governor Crist will sign SB 1196 into law.
SB 1196 contains numerous changes to existing condominium law. Among some of the more
significant changes that will save. condominium associations a great deal of money during the
current economic downturn are the following:
Delaying the date by which a condominium must retrofit its elevators for Phase Two
Firefighter Services until July 1, 2013;
Providing a condominium association the ability to opt out of retrofitting common areas
with sprinklers with a majority vote of the voting interests of the condominium;
Changes the amount of money banks owe to a condominium association in the case of a
foreclosure from 6 months of a unit's unpaid common expenses and regular periodic
assessments or 1 % of the original mortgage debt, whichever is lower, to 12 months of a
unit's unpaid common expenses and regular periodic assessments or 1 % of the original
mortgage debt, whichever is lower.
HB 1035 Relating to Elevator Safety -PASSED
HB 1035 by Representative Frishe passed the Legislature on April 29. The bill will provide
condominium associations relief from retrofitting for Phase II Firefighter Service by giving them
until July 1, 2013 to complete the retrofit. This language that passed as part of HB 1035 also
passed as part of the large condominium package, SB 1196. The bill was approved by the
Governor.
City of Miami Beach
Final Legislative Report = 2010 Regular Session
Page 3
HB 663 Relating to Building Safety -PASSED -
SB 648 by Senator Bennett passed the Legislature on the final day of Session.. The bill would
allow condominiums until July 1, 2015, or until the elevator is replaced or requires major
modification, to retrofit for Phase Two Firefighter Services. Provided that both SB 1196 and/or
HB 1035 and HB 663 are enacted into law, the longer retrofit window provided by HB 663
should be the prevailing law. The bill was approved by the Governor.
SB 846 Relating to Residential Fire Sprinkler Requirements -PASSED
SB 846. by Senator Bennett passed the full Legislature on April 29. 'The bill, if enacted, will
prohibit the incorporation into the Florida Building Code of certain mandatory residential fire
sprinkler provisions of the International Residential Code, specifically requiring new homes to
be outfitted with sprinkler systems. The .bill was approved by the Governor.
Bert Harris
There were no direct attacks this Session on the sovereign immunity provisions of the Bert
Harris Act.
Growth Management
Senate Bill 1752, Economic Development by Gaetz, passed the Legislature on April 30, 2010.
Among the many provisions of this bill, section 46 stipulates that a development order issued by
a local government, local government building permits and permits issued by the Department of
Environmental Protection or a Water Management District pursuant to Part IV of Chapter 373,
Florida Statutes, which have an expiration date from September 1, 2008 to January 1, 2012, are
f, extended for a period of two years after their previously- scheduled dates of expiration. The two
year extension also applies to build-out dates. The bill stipulates that this extension is in addition
to the two year permit extension provided under section 14 of Chapter 2009-96, Laws of Florida,
which was Senate Bi11360. The bill provides exceptions to the extensions which include permits
issued by the Army Corps of Engineers. It also requires that if a permittee is in significant non-
compliance after a warning letter or other formal enforcement, then the extension does not apply.
The extension does not apply if it would delay or prevent compliance with a court order. An
extension has to comply with rules that were in effect at the time the permit was issued. Finally,
section 46 states that it does not impair the authority of a county or municipality to require the
owner of a property receiving an extension to maintain property in a safe and sanitary manner.
The bill was approved' by the Governor.
Expansion of Gambling
Although the Legislature ratified and the Governor signed a casino gambling agreement with the
Seminole Indian Tribe, no efforts were successful in authorizing casino gambling outside of the
current parrmutuel facilities.
City of Miami Beach
Final Legislative Report - 2010 Regular Session ,
Page 4
Defibrillator Requirements for Public Buildings
Senate Bill 2556 by Altman and House Bill 1355 by Steinberg would require the owner; operator
or administrator responsible for a place of public assembly to notify the local emergency medical
services director of the location of an automatic external defibrillator. The local emergency
medical services director would be responsible for maintaining a registry of those defibrillator
locations. It defines a place of public assembly as an educational facility used as an emergency
shelter or a location that has a seating capacity of at least 1,000 people such as a stadium,
ballpark, .gymnasium, field house, arena, civic center, concert hall, recital hall, theatre,
indoor/outdoor amphitheatre and other auditoriums. The bill specifically states that no local
government is prohibited from enacting or . enforcing a local ordinance that expands that
requirement. The Senate Bill passed that Chamber. The House Bill died in committee.
Online Hotel Tax Collections
Efforts to require online internet travel firms. to pay sales and tourist related taxes on the full
price of rooms they reserve for customers were nearly overturned by House Bill 1231 by
Patronis and Senate Bill 2436 by Gaetz. The House Bill passed that Chamber but died in
Messages to the Senate. These bills would have defined an internet reservation service provider
as an unrelated person not required to remit the local taxes. Three bills were filed which would
have required the payment of local taxes by internet providers. Senate Bills 996 and 156 were
never heard in committee. House Bill 335 by Long, was heard but temporarily postponed in its
first committee.
Energy Economic Zone
The team.has been working with the City and Department of Community Affairs on the Energy
Economic Zone Pilot Program. During Session, the other pilot community, Sarasota County,
wanted to pursue legislation which would provide some incentives to pilot communities before
the pilot project barely got started. The Department of Community Affairs and Miami Beach
Economic Development staff were opposed to the language as filed. Miami Beach Economic
Development Director Kevin Crowder worked with Sarasota County on language in their bill,
House Bill 1461 by Fitzgerald, and Senate Bill 2644 by Bennett. Eventually, the City was
comfortable with Sarasota's language. We met with Representative Fitzgerald and
Representative Steinberg on the original bill. We also kept Senator Gelber and Representative
Garcia apprised of the City's position on the bill. The bills were not heard in committee. A
condensed version of the. bill was amended onto House Bill 7229 which passed that Chamber but
died in the Senate.
Red Light Cameras
House Bill 425 by Reagan passed the Legislature and has been signed by the Governor. This bill
preempts to the state the use of cameras to enforce traffic laws. It authorizes counties and
municipalities to use traffic infraction detectors to identify motor vehicles that fail to stop at a
City of Miami Beach
Final Legislative Report - 2010 Regular Session
Page 5
traffic control signal. steady red light. The bill requires traffic infraction devices to meet
specifications established by the Florida Department of Transportation. However, it does have a
grandfather clause for equipment purchased or leased before the implementation of the bill.
Section 12 of the bill sets out the monetary penalties allowed and their disposition which varies
according to which officers, state or local, enforce the act.
Film Incentives
The'.. Florida film industry's desire to ,change the industry's financial incentives program to a
corporate income tax and sales and use tax credit to qualified entities rather than reimbursement
from appropriations passed in Senate Bill 1752, Economic Development by Gaetz. Tax credits
may not be applied prior to 2011.
Local Revenue Restrictions/TABOR
Senator Haridopolos filed Senate Joint Resolution 2420 which would have limited state and local .
government revenue. There was no House companion. -When the bill was heard in its first
committee, it was amended to only limit state, not local government revenue. It was only heard
in one committee.
Early Responder Service Fees
There was no legislation that would have prohibited the City from charging fees or seeking
reimbursement for use of early responder services.- .
Sexual Predators and Offenders
House Bill 119 by Glorioso passed the Legislature on April 30. This bill sets a 300 foot
parameter around places where children congregate within which a sex offender cannot loiter or
prowl. It prohibits sexual offenders from being on real property comprising a child care facility
or kindergarten through grade 12 school without notice and supervision. The bill defines
temporary and transient residences relative to required registration. Language in the bill which
would have provided that the Legislature intended to establish a statewide residency restriction
distance was removed from the bill. The bill was approved by the.
The team worked with Senator Gardiner and Representative Horner to place an amendment into
House Bill 1271. The amendment would prevent camping under the Julia Tuttle Bridge. The
bill must be acted upon by the Governor by June 5, 2010.
Anchoring and Mooring of Vessels
Representative Steinberg filed House Bill 1361 and Senator Gelber filed its companion, Senate
Bill 2506. These bills would have removed restrictions on county and municipal regulation of
City of Miami Beach
Final Legislative Report - 2010 Regular Session
Page 6
vessels not in navigation. The House Bill was heard in one committee with a lot of opposition
and was temporarily postponed and died in that committee. The Senate Bill was never heard.
We participated in a conference call relating to anchoring with Senator Gelber, constituents and
the Florida Fish and Wildlife Conservation Committee staff. We have been working with the
Senator and FWCC staff to have Miami Beach become a pilot community in cooperation with
the City of Miami to work on more flexible regulation of vessel mooring.
Sale of Alcohol
There are a number of coalitions opposed to authorizing local governments' regulation and
prohibition of the sale of single cans of alcohol. No .legislation was filed in this regard.
Plastic Bags
A state law was passed two years ago which prevented local governments from regulating the
distribution and use of plastic bags by retail establishments until the state Legislature acted on
that regulation. The Legislature did not act on that regulation this year so the restriction stays in
place.
Erosion of Local Authority
Senate Bill 2060 which has already been signed by the Governor increases the current waiver of
liability limits for the state and its agencies and subdivisions to $200,000 for individual claims
and $300,000 per aggregate claims. The current liability is $100,000 for individual claims and
$200,000 per aggregate claims. The bill becomes effective October 1, 2011.
House Bill 1157 related to Prompt Payment by Iocal governments passed this Session. This bill
which has been worked over several years by local governments and amends Florida Statute
218.735, Timely Payment for Purchases of Construction Services, requires contractors to send
the local government an overdue notice for payment. If the notice is not rejected by the local
government within four business days after delivery, the payment request or invoice is deemed
accepted except for any portion of the request that is fraudulent or misleading. The local
government must identify a single employee or facility or office to which the contractor would
submit its payment request or invoice. If a payment request or invoice does not meet the contract
requirements, the local governmental entity must reject the payment request within twenty days
after receipt. The construction contract has to provide for the development of a single list of
items required to render the project complete. The bill sets out a timeline for developing that list.
The bill becomes effective October 1, 2010.
Budget Issues
We worked diligently with Representative Rivera, Chairman of the House Appropriations
Committee, and the staff at Beach and Shore Preservation Society on beach renourishment
City of Miami Beach_
• ~ ~ -Final Legislative Report - 2010 Regular 8esslon
Page 7
...funding. The statewide reriourishment is allocated at $15 million. Proviso language dedicates
' $6.7 million. to Miami-Dade County. Most of the funds will be used to move sand from the last
. remaining offshore site and to conduct truck haul nourishment of eroded sections in Miami
Beach.. The $6.7 million is matched by $11. million in federal funds and $7.6 million in local,
funds.
.Historic Preservation Grants were funded at $768,250 statewide. The City had applied for two
historic preservation grants; one for MiMo Public Awareness through a-grant.. program which
receives only federal funding. The other project-was Fulford-by-the-Sea Monument which was
very far down the priority list Totaling $2:3 million.
The budget appropriates $297;200 for art grants; $2 million for cultural.. acid museum. grants and
$360;000 for Florida Endowment for the Humanities.
Funding for Workforce Development includes the followng~items for Miami-Dade County. .
~- Adults- with disability funds • • $1.7 million .
• • Public schools work force education performance based incentives $945,149,
• Public schools work force education program funds $91.8 million
,Affordable housing statewide received the following allocations:
. • CDBG- $33 million
Housing and Urban Development Disaster Grants $63.6 million
. ~ • First=Time-Horne Buyer Down Payment Assistance- $37.5 million
. • ~ ~ Weatherization Grants $9.7 million
` Housing Trust Fund Sweeps to General Revenue included:
• Local Government Housing Trust Fund $148.4 .million
f• State Housing Trust Fund ~ $25.9 million
No substantive legislation passed on-affordable housing.
Transportation funding of interest to the Beach include the following:
SR 934/NE 79 Street, over the Intercostals ,Waterway Bridge ~ ~ . $2,.9 million •
• SR•AlA/McArthur Causeway and West Avenue to Collins Avenue ~$2.3 million
f
Gity of Miami Beach
Final Legislative Report - 2010 Regular Session
Page 8
Desalination
'. In regard to funding for desalination, House Bill 7207 extends-the duties of the Water Pollution
Control Financing Corporation which is currently. responsible for the Clean Water. Revolving
Loan Fund to :also include responsibility for the Drinking Water Revolving Loan Fund which
currently is run by the Department of Environmental Protection. This allows the. Corporation to
iiow authorize bonds .for the Drinking Water Revolving. Loan Fund .as well as the Clean Water _
Revolving Loan .Fund`. The stand alone bill did`' not pass. However, the language is in the
enrolled version of;Senate Bill 550.
AgencylIssues
During Session, it was our pleasure to arrange a meeting between Mayor Bower, City Manager .
Gonzalez, Commissioner Libbin and Kevin Crowder with FDOT Secretary Kopelousos and' her ,
staff to address the City's concerns related to the Port of Miami Tunnel. Project.
We worked with the Florida ~Departrnent of Health to address concerns raised by the County
Health Department related to the South. Point Fountain. Intervention on that issue is ongoing..
During Session; we arranged for City staff to have a conference call with'DEP Deputy Secretary
.' Ballard with regard to regulatory issues related to the 'Bay Walk Project. Work on that issue is
ongoing.. ,
Before .and during Session, we met with the Department. of Community Affairs representatives. ~ .
' '' ~ and City staff on the Energy Economic Zone Pilot Program..
It was our pleasure to intervene with the Department of Community Affairs on behalf of the City
to secure funds for the Neighborhood Stabilization Program. We have also .kept Senator Gelber
' and his staff appraised of the progress in this program:.
' ~ During Session, we participated in both a meeting and a conference call between the City and the
'Fish, and Wildlife Commission; to secure designation as one of the locations for the Anchor and ,
Mooring Pilot Program. The issue is ongoing.
Education Issues
_ Section. 2S in House Bill 5101 which passed this Session requires that a school district allocate
~- 80% of funds received from IB bonus, FTE funding to the school program whose students
' generafe the funds and' to school programs that prepare prospective students to enroll in : IB
courses. The. language of the bill further stipulates that funds are to be expended solely, for the
' payment of .allowable costs associated with. the IB program. This. should prove to be very
helpful ~ to the. City's IB initiatives.
City of Miami Beach ,
~. FinaT Legislative. Report ; 2010 Regular Session
.page'g ,
The base student allocation was only increased. by $6.86.
A revision to the class. size requirement for public schools. passed in Senate Joint Resolution 2.
The resolution allows for calculation of class sizes as a school. average: For example, a third
grade class could have 1,9 students so long as another third grade class in the: same- school
enrolled no more than 17 students. It places limits on averaging to prevent any K-3 classrooms
. from having more than three more students or 4-1.2 classrooms from having any more than S
additional students. It will go before Florida voters in November 2010. _ ~ -
Senator Garcia filed Senate .Bill 2086 and Representative Rivera, filed House Bill 1451- which
` F would -have required the Department of Education to contact an out-of-state post-secondary
education institution to ,conduct a study to~ analyze Florida's district cost differential. Both bills
died in committee. However, Representatives Rivera and Flores did get such language.. into the.
_ budget. Line Item 123 in proviso requires that an out-of--state entity study the Florida Education
m Finance Program. The study is to review the funding distribution formula and make
- ,recommendations for improvements that would better reflect the varying: characteristics of each
of the 6Z school districts and report to the-Legislature and Governor by January 1, 2011. An
appropriation of $ l OO;000 is provided. for the.study. ,
Taxes
' Senate, Bill .2024 by Alexander reduces. the rate of communication services .tax from 6.8% to
. ..6:65%, It also increases'the gross receipts tax on communication services from 2.37% to 2:52%:
' , This allows the state to-bond. the gross receipts tax on communication services. The reduction in
communication services tax will cost .local governments $2.3 million in 2010-11 and $2.5
' - million on a recurring basis..The bill. was approved by the Governor.
` - ~ ~ House Bill 5801- directs the Department of Revenue to develop and implement an amnesty
program for taxpayers subject to state and local taxes. The amnesty .program is to be in effect for
a three month. period beginning .July 1, 20T0 and. ending on September 30, 2010 and shall apply
'only to tax liabilities due prior to July 1, 2010. The Revenue Estimating Conference estimates
` ~ that: new revenue to local governments in fiscal year 2010-2011 is estimated to be $7.1 million of
which $1.9 million will be recurring. The bill was,approved by the Governor.
Workforce: Boards ~ .
Senator Fasano filed Senate Bill 1646 which had no House companion. This bill prohibited .
' board members and their relatives from contracting .with or having financial interests in a
. contract with the Regional- Workforce Board on which the member serves. Language appears in
the budget implementing bill, House Bill 5003,- Section 49. In the language, board. members are
directed not to pay for meals, food or beverages for board members, staff or employees. It
directs Workforce Florida to develop: statewide. fiscal policies for the boards to .address ethics
problems: ~ _
- Cityof Miami Beach
Final .Legislative -Report - 2010 Regular S'essiori ~ "
' Page 10
.Qualified Target Industries ,: '
~H~ouse Bill 7109; extends"the QTI Program which wasdue to expire until-July 30, 2020. The'bill
. " creates a definition of "return,on investment",for QTI projects.. It allows leased employees to be
included in the qualifying count, and requires a review of targeted industry lists every three
years:. It extends renewable energy economic development projects from the requirement that
qualified target industries must be independent of Florida resources and markets. The bill has -
not gone to the :Governor.' QTI language is also present in Senate Bill 1752 relating to Economic
.Development by Gaetz:: "
" ' Transportation.
Senate Bill 1842 directs the Department of Transportation to.notify property owners and local
' government entities of certain proposed projects before finalizing the design o£those .projects., It
" provides a time frame for this notification. It also requires the Department to .hold public
. hearings. and receve'public input regarding the effects of the project on local businesses. Thee
. bill passed. The Governor must act on this bill by June 5, 2010..
"The state Transportation Trust Fund was .swept of $160 million which went -into ..General.
. .Revenue. This is Section. 129 of the budget. The funds -are to be transferred. in October and
December of 2010 and in January and April of 2011. .
Recycling.
.House Bill 7243 which passed the Legislature. directs counties to achieve a 40% recycling rate by
~. .December 31, :2012, 50% by December 31; 2014;- 60% by December. 3~1; -2016; 70% by
- December 31, 2018 and' 75% by. December 31, 2020. Counties and municipalities are
encouraged .to -form cooperative arrangements for implementing the recycling program: If the
recycling rates are not attained, then .DEP. may direct the county to develop a plan to expand
recycling to existing commercial and multi-family dwellings, including apartment complexes.
` ~ The bill was approved by the Governor.
. It has been our pleasure,to represent the .City of Miami Beach in the 2010 Legislative Session.
We will continue to advise the City of action by the Governor and' will keep you abreast of
interim studies as they are announced and. continue our work with the City on,various Executive
Branch issues'. "